Why Buy IBM Shares? Watson
IBM (IBM) is firing on all cylinders lately and its share price reflects its staying power by closing above $200 a share this week. IBM's super computer Watson is going to work for Citigroup (C) and its why the Masters want in now.
Last week we recommended buying IBM shares in 3 Stocks to Buy at 12 Month Highs. IBM was trading just under its 12 month high and this week it made the $200 roll hitting $201.19.
Citigroup (C) is hiring Watson to do what no man can do. The AWESOM-O like computer will help analyze customer needs and process financial, economic and client data to advance and personalize digital banking.
Watson already does work for its health-care clients WellPoint Inc. and Seton Health Family by analyzing data to improve care. IBM executives say Watson’s skills -- understanding and processing natural language, consulting vast volumes of unstructured information, and accurately answering questions with humanlike cognition -- are also well suited for the finance industry.
Watson may add $2.65 billion in revenue in 2015, adding 52 cents of earnings per share, Ed Maguire, an analyst at CLSA in New York, estimated in a November research note (source: bloomberg via fa-mag.com)
MASTERY Bottom line:
Need another reason to buy IBM?
Watson is your answer.
Mastery expects IBM to continue to prosper in 2012.
Our 12 month target price for IBM is now $250.
Best of the Blogs
Scanning and identifying the best blog entries every hour
- Careful Shorting the Precious Metals and Miners Here | iBankCoin.com
- Global Risk Appetite At 2006 Levels - Nears 'Euphoria' | ZeroHedge
- My Top Story Stock is Breaking Higher Today | iBankCoin.com
- Trading Setups to Digest with Your Lunch (is for Wimps) | iBankCoin.com
- Goldman: "Our View Is That Tapering Is Announced At The December FOMC Meeting" | ZeroHedge
- How to Win Friends and Influence People | Altucher Confidential
- "The Approximate Present Does Not Approximately Determine The Future" | ZeroHedge
The most relevant financial news and articles from the Internets
- All Around The US, Risks Of A Water Crisis Are Much Bigger Than People Realize | Business Insider
- Financial Weapons Of Mass Destruction Are Back | Business Insider
- Market Wrap: Bernanke Baffles Markets; Tesla Off... | StreetInsider.com
- 10 Money Lies That Could Wreck Your Marriage | Business Insider
- Horrifying Eye-Witness Accounts Of London 'Machete Attack' | Business Insider
- Yelp To Business Owners: Stop Accusing Us Of 'Extortion' (YELP) | Business Insider
- CHART OF THE DAY: Square Is On Track To Process $15 Billion In Payments This Year | Business Insider